I used to work for the VW Group in SW Development. I can only say the had it coming for a long time. You just can't develop software the same way you develop mechanics, and the concrete-headed management has always failed to understand that.
@@urbansenicar81 Software engineer here, who switched from a traditional engineering practice in university. The biggest difference up front is the fact that software engineering is much more about logical architecture than working with physical factors (unless you're in an esoteric field like quantum computing or such). Mechanical engineers for thye most part have well defined parameters that are bound by thermodynamics, material science etc. Software engineers are bound by the performance limitations of the hardware they run on, but much more by whatever shared logical model the team has chosen to structure and decompose their problems. Most modern software is developed in a far more iterative fashion than any kind of machinery, and it is much harder to simulate edge cases. There are exceptions - if you're at the bleeding edge of performance in machinery, you can run into the same problems. For example, Formula 1 engineers live in a similar world of constant uncertainty - think upgrades which often don't actually perform the way the team expected.
It is all about greed, all the new investment money moved to China years ago. Most German automakers have heavily oil money headed council, and they prefer to go bankrupt than accelerate the EV adoption.
VW has forgotten how to make a “people’s car” that is, above all, affordable. Please don’t blame the Chinese. At least they still understand the importance of affordability.
@@datianlongan5567 you were right till you start speaking about Chinese. You just can't compete against a country that don't have the costs you have from people rights and green energy, for example. Woke culture is not free!
Easy, VW made most of its profit in China. It is losing market share there and anywhere else that is not EU or US. VW has appreciable debt and fixed costs thus less sales means unit cost goes up. Cannot reduce prices as then cannot service loans...
Have you ever driven an ID.? I own an ID.4 built in the USA, it had a couple of built quality issues and the software crashes all the time makes the car almost a nightmare although the design is nice (in my opinion). The communication module crashes leaving you without navigation, road sign assist, GPS and access to the CarConnect app. Not speaking of the driver display rebooting leaving you without any speed information. And the dealership always blames the software and that they cannot do anything. I am not wondering why VW is in trouble, this is the worst way of German engineering, ridiculous. Diesel cars are no longer the future and VW completely missed the opportunity to be innovative in the EV sector.
their European factories are paid by profit from china, now profit from china decreased (local brands eating their market) and they have to close European factories.
I live in New Zealand. Here European cars are known for being expensive to buy and expensive to maintain and not particularly reliable. I explained to my German friend that a Japanese car will generally run well over a 100000 km with no issues, where as German cars in (my experience) tend to have a lot of issues past this point. My German friend couldn’t even comprehend driving a car beyond 80,000 km, which I think reflects a culture problem in Germany.
@@gargoyle7863 even the late 2020s they are very fragile here on Australian roads it takes just one pot hole 🕳️ to ruin your whole car structure so I mean all that driving performance, quality and agility goes to wastes on 🤷🏻♂️ the car was designed for the autobahn which we don’t have here in Australia also note the suspension ride here on Australian roads are too stiff and rough
I was born in 63. I do not need those software features. I can turn the steering wheel manually, I can recognise the traffic signs, I can change lane, I can turn my head, I can reverse park... I just need a reliable, simple, durable electric car.
Exactly, keep it simple, I was born in 66 I've a 12 Yr old nissan which is just great and I've a 4yr old citroen with an intermittent electrical fault which up till now can't be fixed.
You'll need some navigation help to find chargers on your route. But even that can just run on a smartphone, possibly connected to the car with Bluetooth.
yeah, my vw is from then, UNTOUCHED, the way VW intended, best car i've ever had,350000 and going like new, EXTREMELY economical too; ; THANK YOU VW!! f-u, GOVs, Regulators, go to...
Dieselgate was the beginning of it fall when its brand took a beating it never really recovered from. pr alone doesnt hold long. then came ev, software and the rest.
Having worked for a Tier 1 automotive supplier in the area of SW Development I personally witnessed the absolute incompetence with which so many management teams operated. Dunning-Kruger effect, meritless promotions and arrogance all come to mind. Meanwhile China has quietly done exactly what the market asked of them: manufacture high quality, low cost EVs with innovative technologies at scale. Now we’re all supposed to feel sorry for the legacy automakers and their suppliers while forgetting about getting overpriced autos and diesel-gate? The line workers yes, the managers no way. This is a Just Dessert.
Yeah, the people in charge of these programs at manufacturers and suppliers are largely business bureaucrats who have no idea how modern mission-critical software development works. Some of them may have a background in developing mechanical components or experience with low-level ECUs from years ago. Many more are just corporate ladder climbers. I once interacted with a guy from Porsche who was responsible for its third-party software integration program in a certain region at a developer conference years ago. The guy was dressed in a fancy suit and literally had his nose in the air. When asked about a popular third-party solution, he expressed disdain, saying, 'You know, we can just switch it off whenever we want....' To this day, their internal implementation hasn't matched that solution from a few years ago.
What i find interesting about these comments is everyone going on about how awful VW software is compared to chinese software. Yet in all car reviews, one the worst things about chinese cars is their software, and VW actually gets ok reviews now.
Its only low cost because the Chinese State subsidizes the raw materials and energy costs. Once they've established their presence in the EU trust me, prices will go up.
@ On the contrary prices will go down even more because when they start assembling more battery packs and cars in Hungary they will no longer be paying a 19%+ import duty. Currently the top of the line Nio or BYD has 95% of the performance of a Porsche Taycan at 30% of the selling price. If you want to go „low end EV“ a well equipped Seagull model from BYD with a range of >500km can be purchased NEW for
Just been in Shenzhen for a month and checked out a number of the latest EVs. They are very impressive and considerably cheaper. Couldn’t help thinking the European car industry is a dead man walking!
One of the reasons cars are more expensive here is because of more strict safety requirements. Those Chinese EVs that are sold cheap in China are not allowed to be sold in the EU because they do not meet our safety standards. Another reason is the large amount of money the Chinese government is pumping into its car manufacturers to enable them to stay cheaper than the rest of the world. That is anti competitive behavior that we should not allow.
@@JulesSch1 It's not about dinosaurs. It's about unfair state competition. Europe and America have some great car manufacturers and they need to be protected from unfair competition. China cannot be allowed do dump state-sponsered loss-making cars on our markets to the detriment of existing manufacturers who have to adhere to environmental and labour laws and who are answerable to their shareholders. And particularly when China is no longer hiding the fact that it is a threat to our freedom and democracy. There are more important issues at stake than cheap cars.
so vw's downfall is because of vw can't sell ev and cars that have bad softwares? not because of bad management, unrealible engine, bad tramission, bad marketing, bad pricing decisions, dieselgate scandal etc?
The management has been too slow to react to the challenge of EV's. The electric future is inevitable, and VW are in no shape to compete. They are not the only ones.
@@daydreamer8373 it''s more like vw's management is too cocky thinking german engineering is still the best. don't get me wrong, it's still good, but it's not what it used to be. or they are just simply too greedy...
@@msyahnaz3325 It is all those things. But it is the EV that has been the catalyst. VW old business model no longer worked, and needed swift action to address the challenges ahead. Legacy auto are in big trouble, not just VW.
Northvolt, an EV battery maker that attracted a lot of attention in 2016 and received substantial financial subsidies from the EU, US, and Canada, has to lay off many workers. Northvolt shares are worthless now. The company, once promised to produce 16 gV EV batteries, now realized that it will not be able to compete with CATL's 500 gV EV batteries. One of the Northvolt plants, under development in Quebec, Canada, has to be delayed until 2026 or indefinitely. The plant in Germany was completely shut down.
Unlike electric cars, the government didn't need to subsidise the sales of digital cameras and smart phones because they offered a better user experience. Maybe VW should pivot towards vehicles that people actually want and can afford.
No one else needed cheat devices to re engineer their engines to meet latest legislation so it just shows how bad their engineering always was, Vw was also done in the 1970’s for illegal emissions so they never learned having built and sold illegal cars then as well as between 2006-2020.
Germany has to become a software powerhouse country if they want to survive in the future....attracting talents, software engineers, will be difficult with the problem of language barrier. If one wants to go to work and live in Germany without knowing german you will fail, that is not the case in countries like Switzerland, Netherlands, even Austria were with english you can easily live and work. It is visible also from this interview were so called high end experts they give the interview in german, for an english channel.
The authors of the video wanted to show that the problem is only with Volkswagen. The entire German and European auto industry is on its way to its finish line, that would be more accurate.
0:30 except it isn't. What the narrator think a modern car should be is exactly what VW management thinks it should be, apart from it being absolutely wrong. Just look at the other comments. When people buy a VOLKSwagen, they care about cost and reliability. Not some fancy "software-defined vehicle" gimmick. That's what wrong with the company.
just admit it, the cars are bad, too, especially regarding longevity and the utter high cost in regular maintenance. criticisms on quality of German cars, including Benz and BMW, are flooded overseas. please stop pretending they do not exist any longer. this is just like bearing the head into the ground to avoid prey. this does not work.
Well, the underlying issue is the cost, or the deeper still efficiency of production, which is a harder problem to solve. Unless they are making an absolute killing in profit, which I doubt.
These aren't separate problems. Cars that can't be manufactured efficiently to enable a profit are bad / badly designed cars (and/or badly designed manufacturing lines, depending on how you look at it).
Unfortunately the British went down that route built the mini what a cracking car but had gearbox problems and was it ever rectified or improved on no still the same today as it was then sat on our laurel's
What is happening with VW has nothing to do with electric cars. You presented it in a way that everyone is making money by selling electric cars only and we consumers are buying only electric. Which is utter non sense. VW is just pathetic in making good cars now. Can it come close to Toyota or Honda when it comes to reliability? Just admit it, they are making bad cars. AND stop indirectly pushing ideas like electric cars are everything.
Electric cars are the catalyst for what is happening. The EV future is inevitable, and legacy auto have been too slow to react. People want innovation and software, not dumb, slow, inefficient combustion engines. Legacy auto are in big trouble, They are like the Titanic heading for the iceberg, and can turn nowhere fast enough to miss it.
@@daydreamer8373 Maybe future is electric, but I live in present and I want a reliable car with adequate camera, high resolution main display and perfectly working operating system. Unfortunately, VW cannot provide such a luxury in a regular car. Neither does Toyota. I guess everything thay can improve is their prices. The quality is only deteriorating.
Interesting how collaborating with Xpeng is dangerous for VW because they become dependent upon China but collaborating with Rivian isn't dangerous because you don't become dependent upon the USA. Considering that Germany is now highly dependent upon LNG from the USA (80% of all imports) because some unknown group blew up Nordstream one has to question the motivations behind such thinking.
In 1997, Kodak had about 160,000 employees. And about 85% of the world's photography was done with Kodak cameras. Between 1996 and 2001, Nokia's revenue increased from 6.5 billion euros to 31 billion euros and between 1998 and 2012, Nokia was the world's largest mobile phone manufacturer. There are many other examples. This is what is going to happen to many companies in the west because of the smartness of east Asians.
I remember talking to my (ex) father in law. A man well known in the German car industry. But when you talked to him about Tesla and EV he would laugh say "it's just a bump in the road". Boy was he wrong and his attitude was exactly how other big German car companies felt.
I have a VW and was recently ‘invited’ down to the local showroom to learn about some ‘special offers’ arising from an ‘overstock’. In relation to a new Polo i asked the salesperson “what is the cash price of one of those?” Forty minutes later she still hadn’t given me a straight answer. I had to listen to interminable waffle about things like ‘alloy wheel insurance, ceramic coating’ etc. When, eventually I was given a price, it included all manner of extras that i didn’t want. By then i was so fed-up i just said goodbye.
Simple fact just in Australia a polo was 14990 new and a golf was 22990 . Now Volkswagen have made cheaper quality cars and have nearly double there prices is a recipe for failure. Golf R was 50k now a nor al golf is 50k just out of this world .
Hang on, everything is suppose to be in crisis, but the reason the trade union are going to go on strike is because of record dividends going to the share holders. Meaning VW are making more profit than ever, but in order to negociate a deal with the trade union Volkswagen are threatening to close 3 factory's and Volkswagen are saying there is a crisis. I think a balanced news report should have looked at what trade unions are complaining about and analysed those dividends to see if Volkswagen really are making more profit than ever.
VW might be making profit, just like Toyota is still raking it in by being the most efficient of the dinosaurs that are about to die out. But these profits are not coming off of EVs, so that's where the issue lies. Also, manufacturing lines for EVs have to be more efficient and automatized than those for gas cars, because the upfront cost of EVs is much larger (with savings on fuel and maintenance). That means fewer workers, which is something the unions also don't like.
@@Yutani_Crayven Actually, the upfront cost of EVs should soon (as in, within a few years) be lower than that of an equivalent ICE car. The most expensive (and important) part of an EV is the battery, and battery prices have been consistently falling for over three decades, and are expected to continue falling until the end of the decade at least; battery prices in China seem to have recently crossed the threshold that makes EVs cheaper to produce than ICE cars (meaning BEV cars being designed right now in China should be cheaper than equivalent ICE cars when they are released a couple years from now), and while battery cost reductions outside China are lagging, other countries should get there too before the end of the decade (or faster if they don't mind importing batteries made in China).
You're right. What consumers in Europe really want is cheap, reliable, and safe cars. Whether that means EV or ICE is far less relevant. The problem is that VW fails at delivering both.
The golden age of ICE infrastructure is coming to an end, as recent limited innovations struggle to sustain profit margins. Alternative platforms now offer more attractive solutions and are anticipated to experience strong, sustained demand. The automotive industry is rapidly evolving into a tech-driven field where failure to innovate equates to extinction.
Top 20 Ancient Chinese Inventions are: 1. Paper Making 105 A.C, 2. Movable Type Printing 960-1279 AD, 3. Gunpowder 1000 A.D, 4. Compass 1100 A.D. 5. Alcohol 2000 BC－1600 BC 6. Mechanical Clock 725 A.D. 7. Tea Production 2,737 BC 8. Silk 6,000 years ago 9. Umbrella 1,700 years ago 10. Acupuncture 2300 years ago 11. Iron smelting 1050 BC－256 BC 12. Porcelain 581 - 618 AD 13. Earthquake Detector 132 A D 14. Rocket 228 A. D. 15. Bronze 1700 B.C. 16. The Kite 3,000 years ago 17. The Seed Drill 3500 years ago 18. Row Crop Farming 6 Century BC 19. Toothbrush 1498 in China 20. Paper Money 9th century A.D. There are 1000s more from ancient time.
Access to cheap energy is what historically drove economies to rise. Blocking itself from cheap energy by sanctioning Russia and destruction of its own pipelines has led to increased prices in energy which are becoming increasingly unsustainable and unprofitable for the German market to compete with the rest of the world. It's not a rocket science it's a simple math.
Just remove the logo from any VW brand and let someone guess which brand it is. They are all basically the same. They need to cut back to max 3 brands. But the whole organisation is so slow to change it will never happen so the market will change VW and let's see what is left in 5 years.
Nah. That's what the russians want everyone to believe, but gas prices are not the problem there. The problem is that VW are losing the chinese market to chinese brands, and they keep failing in the domestic market. But VW is still in the profit zone, but not as much as other german brands.
That's maybe what russians want everyone to believe but gas prices are back to normal for quite some time already. It's VW failing in their key markets.
just keep to your audience. I visited Wolfsburg recently and it’s dull, all that money on the vw world thing . I own a mk7R manual and it’s gorgeous. too much emphasis on electric cars. It’s not what your audience wants. Keep your ID range so it’s the electric thing but keep on the petrol game . The GTI/R will always be legendary . Also the prices are insane £40k for a golf is crazy. Money is not getting better for most people. Secondhand prices are sticking high.
in US one of the most expensive car to repair is VW, the quality is poor, and to be honest the aesthetics are nonexistent and have that obtuse vanilla looks to them. The news keep talking about electric vehicle, but in US it would be welcoming News to have hybrid that’s reliable.
We have those, made by Asian companies. In the us the car market is dominated by Asian brands and some domestic brands. Euro companies have low quality and high prices and struggle to compete
Something mechanically reliable must be simple. Hybrid cars are the most complicated with so many moving parts that can go wrong. Gas cars are somewhat simpler and the simplest of all are electric cars
Their software is not that bad. But the switches and lack of backlit controls are complete incompetence that they refused to fix. Skoda makes the controls a lot better.
Yeah I want to know what is smoking whoever decided for this tactile switches with no feedback on the wheel and central panel. The software is bad compared to the competition, there's just no arguing against that. The software present in Teslas, Renaults, and lots of chinese cars is just miles ahead.
Volkswagen is on solid technical foundations as an automotive company and made some of the greatest cars for different market segments globally. At some point, they lost the plot and stopped investing in inhouse innovations for make their established models at the current level of expectations. Instead they started abandoning established models and given to panic adaptation of what other new eV players are doing. Look at Toyata who firmly charting their path of having strong presence in hybrid powertrains, refined ICE including diesels and also eVs in calibrated manner while all their great models are sold all around the world. Volkswagen should have continued with their iconic models like the Passat, Jetta, Golf and Beetle, modernised with highly efficient hybrid powertrains alongside other software based features and conveniences incorporated. Looks like they missed the step but still can be corrected.
January-June new vehicle sales in the Chinese market was 14,045,000 Production volume increased by 4.9% to 13,889,000 units. Chinese automaker BYD is the most wanted car in China
The 90s feel of this video is just as outdated as Volkswagen and it shows how the entire German society is completely lagging behind. Time to rejuvenate, also here at DW!
Right now there is approx. 60.000 Teslas (all models) driving around in Denmark. And there is 47.000 VW E-cars (all models). In addition, there is approx 15.000 Skoda E-cars (owned by VW). So I wouldnt say that Tesla has won. I think the European E-cars are doing better in Denmark. I dont know about the rest of Europe.
Numbers of sales don't matter that much, if there is not profit to be made. Tesla benefits from artificial taxpayer subsidies still, for years sales of carbon credits was only thing that made profits in their sales. Proper car companies make their profits by selling traditional cars, selling EV's is not profitable business
@@cmdrstevemcmaru7417 Yes. Tesla is doing great. One reason is that Tesla is again and again dumping the price on the European market. They can do this because support from the US government (for example in the US there 100% tax on Chinese cars). And with a close alliance with Trump Tesla will perhaps recieve further government support. It just funny how little this government support is mentioned by the US industries in general - doesnt fit the self-image I guess :-)
I live in the EU and the cheapest ID7 at my local VW is 59k EUR in the price list, which means you need to pay AT LEAST 60k incl. delivery fee and that even if you come there with cash in a bag and don't take any additional options whatsoever (not even mats). Not sure where you can get it for 55k. In both cases, however, the price is ridiculous.
I feel these analysis are still missing it... cars have gone beyond how the battery is good (it has to be good), whats important now is software.... later autonomy
The average person: doesn't want to buy an electric car* VW: produces a massive Amount of electric Cars* VW: "People don't buy electric cars, they aren't profitabel" Gouvernment: Adds EV subsidies People: Start buying cars. VW: Puts all it's eggs in one basket Government: stops the subsidies People: Stop buying EVs VW: Suprised pikachu face
I think they lose because too slow to adapt EV, the chinese (& tesla) are faster. it's really resemble kodak situation: too slow to adapt digital camera.
They just spent 5 billion on the failing startup electric truck company, Rivian. Rivian trucks cost about 80,000, but Rivian looses about 33.000 on every vehicle produced. VW is also redirecting the Svout American car brand. They just confirmed 2 billion for the construction of a brand new Scout factory. Scout and Rivian are producing the same types of electric trucks and SUV’s. The only problem is that there is no market for electric trucks. Ford cannot shift its rlectric F150 lightning. It is unbelievable. Inversting in USA whilst neglecting their home market and employees.
Correction: VW did not spend 5 billion on Rivian. They invested 1 billion with a possible additional investment of 4 billion more. And for a very good reason for both companies: Rivian is good in software but can't make cars profitably, while VW is good in manufacturing but failing in software. This deal has the potential of saving both companies.
probably stelantis' method is better (must wait few years to see the real results): buy some part of chinese car company, give them general design based on experience selling cars worldwide. now leapmotor going to build their B model based on stelantis' design while currently stelantis help them sell the c10 and c16 worldwide.
Dacia has great success in making simple transportation - something where VW started a long time ago but since has forgotten that simple means not having a thousand gizmos in the car of which alot are "set and forget" things.
Cheaper and cheaper parts combined with lousy software at a premium cost is a path to disaster. And dont forget record high dividend payments to stockholders the last years.
Toyota smartly did not go full electric but hedged its bet on the future by going for plug-in hybrid which is the way to good in the medium term. It was inevitable that VW in playing catch-up on BEVs would have teething problems with its first generation.
There's always been alarmism around this, and it's not the first time the media has painted VW as on the brink of collapse. But here’s the reality: Europe is loyal to its major brands, and VW Group is one of them. Despite what some media might push, VW Group is actually selling more cars in Europe now than before, thanks to the growth of Skoda and Seat/Cupra, both part of VW. VW may adapt or scale down, but it’s not going away; Europe remains one of the world’s largest markets, where VW and its sister brands are deeply rooted. And Chinese EVs in Europe!? Let's not even go there... their sales figures, or lack of them, speak for themselves.
Look at Skoda success (car brand from behind Iron Curtain 1989), Dacia (the same). Hyunday / KIA 40 years ago was not present in Europe. MG is an old European brand...
I drive a vw trust me never buying again i dont want an unreliable car which i have to spend 1000s of $ for a repair . Where toyota /honda never have that issue
I've developed advanced automotive systems on par with Chinese and have experience in both this industry (9y.) and IT (4y.). Guess what VW's CARIAD has answered to my job application for IT Product management position? "We need someone who speaks Deutsch, it's a strict requirement". So they are selectively hiring people from the society infamously lagging behind in the skills that matter for the product they need to build. Sorry, I know Germans are proud of their past, but as cars are turning into IT on wheels, the language and culture of the local industry has to switch, and actually the Chinese were the first ones to realize that, attracting top IT and automotive talent from all over the world (of course, speaking English).
He is the guy that put Vw into its current situation as he deliberately set out creating illegal engines and cars that should never have been made let alone fraudulently sold to millions of people from 2006 - 2020. He should be in prison, he can’t go to the USA or anywhere where country have an extradition treaty as America will take him for their courts and into prison where 10 Vw managers have been for several years already. Following orders was no excuse for them. Vw refused to pay US $24 million for their release whilst Vw paid Deiss €40 Million when he was pushed out as a thank you for his work as ceo!
VW's have never been popular in the USA. They will have to maintain their position in Europe. While hybrids will continue to grow in popularity in the USA, EV's and PHEV's will never replace the ICE (so much space). So VW will have to focus on a continent that is determined to remove ICE's as they appear to be losing China.
Not a single mention of tesla??!! Herbert diese was acknowledging the problem and was trying to change direction but VW forced him out. For years, us Tesla fans, were saying teslas are computers on wheels and we were laughed at by them. How come Tesla makes cars profitably in Germany and you can’t?? You get what you deserve.
Don't even forget about SFD2 protection now, totally blocked out of all modules to do basic maintenance on. I'm looking at Tesla and Xpeng atm for a new ride. From a family who only had VAG cars in the past. For my part they can go bankrupt, blocking out maintenance OBD devices and 2-way communication is a step to far...
I think they must have cut this video short because it never answered the titles question if VW can survive or will it die, they just ended it saying "will VW die?, not necessarily,..." but never explained why not. Germany will not let them go bankrupt, so I think they're going to shrink to less than 50% of their current size and revenues over the next few years.
Wife bought a peugeot 208 last month rather than a golf for the reason it is a better looking car with a better overall interior for a similar price. That simple! The golf just didn't excit her. A couple of years ago I bought an older 2013 aston martin vanquish. There are better sports cars from that time out there for less but frankly, I fell in love with how it looked. Its beautiful, and while the Porsche was a better all round car it lacked beauty. Ok my perspective, of course. VW stopped building cars people want to be in and drive.
3:48 - "Dividend receive dividends".. This is a misleading narrative of labour unions. 1. Employees receive much more net profits (salaries) than shareholders receive dividends. 2. Dividends are no net profit for Shareholders. The minute dividend is being paid stock prices go down with the same amount as the dividend. 3. While dividends are no net profit for shareholders, dividends are a huge net profit for governments, since dividend are subject to dividend taxes.
Having come here thinking this will be insightful and well researched report, found myself to be disappointed. VW has had numerous problems with their ongoing credibility and quality issues for a while now and to simply say that electric motors has replaced an ICE engine (@46") is just simply nonsensical. This not the state of the world passenger vehicle market. I find it resentful when a lobby group (of any kind, be it big oil/gas, or EV lobby) appears to be sponsoring/paying for a pretend report.
The move to EV's has caught legacy auto sleeping at the wheel. They have been too slow to react to the changing landscape. EV's are the catalyst for the distruption happening. and VW are not the only ones in trouble.
unions is what will kill germanys companies. they force companies to let old mechanics start to code. sometimes its better to change people out if you can save a company doing it
I used to work for the VW Group in SW Development. I can only say the had it coming for a long time. You just can't develop software the same way you develop mechanics, and the concrete-headed management has always failed to understand that.
Would you not develop software exactly the same way as you would a machine?
💯 Correct!
@@urbansenicar81 Software engineer here, who switched from a traditional engineering practice in university. The biggest difference up front is the fact that software engineering is much more about logical architecture than working with physical factors (unless you're in an esoteric field like quantum computing or such).
Mechanical engineers for thye most part have well defined parameters that are bound by thermodynamics, material science etc. Software engineers are bound by the performance limitations of the hardware they run on, but much more by whatever shared logical model the team has chosen to structure and decompose their problems. Most modern software is developed in a far more iterative fashion than any kind of machinery, and it is much harder to simulate edge cases.
There are exceptions - if you're at the bleeding edge of performance in machinery, you can run into the same problems. For example, Formula 1 engineers live in a similar world of constant uncertainty - think upgrades which often don't actually perform the way the team expected.
It is all about greed, all the new investment money moved to China years ago. Most German automakers have heavily oil money headed council, and they prefer to go bankrupt than accelerate the EV adoption.
the concrete-headed management, love it.
VW has forgotten how to make a “people’s car” that is, above all, affordable. Please don’t blame the Chinese. At least they still understand the importance of affordability.
Exactly.
It's not Chinese EV that's an issue - VW simply not making what people need and can afford.
@@warboyrb also blame their government,they should make subsidies for their products and added tariffs to competitors
@@datianlongan5567 you were right till you start speaking about Chinese. You just can't compete against a country that don't have the costs you have from people rights and green energy, for example. Woke culture is not free!
They had an electric car that people wanted. The e Up.
The people's car namely the vw beetle was a pile of dung and sounded like it. Iconic to look at but that's as far as it goes
The chinese EV has not even effectively entered the EU market, and VW is already in trouble. How is that even possible?
Easy, VW made most of its profit in China. It is losing market share there and anywhere else that is not EU or US. VW has appreciable debt and fixed costs thus less sales means unit cost goes up. Cannot reduce prices as then cannot service loans...
VW did very poor in China
Have you ever driven an ID.? I own an ID.4 built in the USA, it had a couple of built quality issues and the software crashes all the time makes the car almost a nightmare although the design is nice (in my opinion). The communication module crashes leaving you without navigation, road sign assist, GPS and access to the CarConnect app. Not speaking of the driver display rebooting leaving you without any speed information. And the dealership always blames the software and that they cannot do anything. I am not wondering why VW is in trouble, this is the worst way of German engineering, ridiculous. Diesel cars are no longer the future and VW completely missed the opportunity to be innovative in the EV sector.
Most of the money they make is in china 🇨🇳. Easy answer
their European factories are paid by profit from china, now profit from china decreased (local brands eating their market) and they have to close European factories.
Before profit made in Chinese market masked VW inefficiency and cost heavy structure. Now tide starts receding, a naked swimmer can no longer hide.
Don’t think too many people in the west knew this. This will make Dieselgate look like a picnic.
I live in New Zealand. Here European cars are known for being expensive to buy and expensive to maintain and not particularly reliable. I explained to my German friend that a Japanese car will generally run well over a 100000 km with no issues, where as German cars in (my experience) tend to have a lot of issues past this point. My German friend couldn’t even comprehend driving a car beyond 80,000 km, which I think reflects a culture problem in Germany.
Not the case with Mercedes which run a long time. The quality issue is with the VW brand which prices have risen and are no longer attractive.
Engine light 💡
@@jl285 😂 Engine light became a meme in Germany. I hope the industry heard the bell.
A lot VWs with 250000 km around. All build in the early 2010s. Then it went downhill with quality.
@@gargoyle7863 even the late 2020s they are very fragile here on Australian roads it takes just one pot hole 🕳️ to ruin your whole car structure so I mean all that driving performance, quality and agility goes to wastes on 🤷🏻♂️ the car was designed for the autobahn which we don’t have here in Australia also note the suspension ride here on Australian roads are too stiff and rough
I was born in 63. I do not need those software features. I can turn the steering wheel manually, I can recognise the traffic signs, I can change lane, I can turn my head, I can reverse park...
I just need a reliable, simple, durable electric car.
Exactly, keep it simple, I was born in 66 I've a 12 Yr old nissan which is just great and I've a 4yr old citroen with an intermittent electrical fault which up till now can't be fixed.
You'll need some navigation help to find chargers on your route. But even that can just run on a smartphone, possibly connected to the car with Bluetooth.
Well said that man soon you will just sit in the seat and the car will drive it's self
I don't want an electric car, give me a petrol car with an efficient 4 zylinder engine. And 7 speed GSG transmission.
You are old. How many more cars can they sell to you. Chasing old generation is what Cadillac did.
But VW was a pioneer in Software Defined Vehicles.
Remember Dieselgate?
yeah, my vw is from then, UNTOUCHED, the way VW intended, best car i've ever had,350000 and going like new, EXTREMELY economical too; ; THANK YOU VW!! f-u, GOVs, Regulators, go to...
Dieselgate was the beginning of it fall when its brand took a beating it never really recovered from. pr alone doesnt hold long. then came ev, software and the rest.
And even this only with the help of Bosch.
😂
😅😅😅😅😅
The incompetence of VW's management should be used as example in schools how not to do business 🤯
This! Most of their problems are from super incompetent management and they are still not able to see where exactly problems are, tragic...
They had the right guy with Herbert Dietz. The unions and board showed him the door for all his efforts. They didn’t want to hear the truth. 🤦🏻♂️
@@markdc1145their certainly going to hear it now.
German government has the best team of following US's order,nothing to do with business
The salary of VW executives are still very high.
Germany is really on a correct path of de-risking and de-industralization. Congratulations, Germany!
No business no Risk
That’s what the greens want anyway. ♻️
It's dream comes true.
Germany can give up the automobile industry for the sake of western "values".
@@amandagrant4331 I recommend bicycle to be next Germany main industry, it doesn't need must energy from Russia
Having worked for a Tier 1 automotive supplier in the area of SW Development I personally witnessed the absolute incompetence with which so many management teams operated. Dunning-Kruger effect, meritless promotions and arrogance all come to mind.
Meanwhile China has quietly done exactly what the market asked of them: manufacture high quality, low cost EVs with innovative technologies at scale.
Now we’re all supposed to feel sorry for the legacy automakers and their suppliers while forgetting about getting overpriced autos and diesel-gate? The line workers yes, the managers no way. This is a Just Dessert.
Yeah, the people in charge of these programs at manufacturers and suppliers are largely business bureaucrats who have no idea how modern mission-critical software development works. Some of them may have a background in developing mechanical components or experience with low-level ECUs from years ago. Many more are just corporate ladder climbers. I once interacted with a guy from Porsche who was responsible for its third-party software integration program in a certain region at a developer conference years ago. The guy was dressed in a fancy suit and literally had his nose in the air. When asked about a popular third-party solution, he expressed disdain, saying, 'You know, we can just switch it off whenever we want....' To this day, their internal implementation hasn't matched that solution from a few years ago.
What i find interesting about these comments is everyone going on about how awful VW software is compared to chinese software. Yet in all car reviews, one the worst things about chinese cars is their software, and VW actually gets ok reviews now.
It happened to the European electronics companies, all gone.
Its only low cost because the Chinese State subsidizes the raw materials and energy costs. Once they've established their presence in the EU trust me, prices will go up.
@
On the contrary prices will go down even more because when they start assembling more battery packs and cars in Hungary they will no longer be paying a 19%+ import duty.
Currently the top of the line Nio or BYD has 95% of the performance of a Porsche Taycan at 30% of the selling price.
If you want to go „low end EV“ a well equipped Seagull model from BYD with a range of >500km can be purchased NEW for
Just been in Shenzhen for a month and checked out a number of the latest EVs. They are very impressive and considerably cheaper. Couldn’t help thinking the European car industry is a dead man walking!
They will tariff the chinese like the americans when they can't compete to keep their dinosaurs in business.
One of the reasons cars are more expensive here is because of more strict safety requirements. Those Chinese EVs that are sold cheap in China are not allowed to be sold in the EU because they do not meet our safety standards. Another reason is the large amount of money the Chinese government is pumping into its car manufacturers to enable them to stay cheaper than the rest of the world. That is anti competitive behavior that we should not allow.
@@JulesSch1 It's not about dinosaurs. It's about unfair state competition. Europe and America have some great car manufacturers and they need to be protected from unfair competition. China cannot be allowed do dump state-sponsered loss-making cars on our markets to the detriment of existing manufacturers who have to adhere to environmental and labour laws and who are answerable to their shareholders. And particularly when China is no longer hiding the fact that it is a threat to our freedom and democracy. There are more important issues at stake than cheap cars.
@@Hans-gb4mv the Chinese evs are not safe, and they got 5 stars in NCAP🤣
EV's are garbage with very high EMF. It is like riding around in a microwave. EV's are far more toxic than ICE.
The problem is that governments have been dictating to manufacturing what to make, but the public don't want to buy that product.
Or they can continue producing normal cars without thousand of electronics in them, because this is what most of the people want.
so vw's downfall is because of vw can't sell ev and cars that have bad softwares?
not because of bad management, unrealible engine, bad tramission, bad marketing, bad pricing decisions, dieselgate scandal etc?
Easier to blame technology for failures than the managerial team
The management has been too slow to react to the challenge of EV's. The electric future is inevitable, and VW are in no shape to compete. They are not the only ones.
@@daydreamer8373 it''s more like vw's management is too cocky thinking german engineering is still the best. don't get me wrong, it's still good, but it's not what it used to be. or they are just simply too greedy...
@@msyahnaz3325 It is all those things. But it is the EV that has been the catalyst. VW old business model no longer worked, and needed swift action to address the challenges ahead. Legacy auto are in big trouble, not just VW.
@@daydreamer8373 Come on, we are talking about their present ICE cars, not theoretical future.
My VW experience was awful, got rid of that money pit fast; then got a Toyota, it's now 15 years old without any major repairs.
thanks to EU neomarxism and ecological terrorism. are greens going to pay for salaries of workers from their own private pockets?
55k euros? They should charge the name from folks wagon to Upper Middle class wagon.
Reichswagon 😂😂😂😂
Northvolt, an EV battery maker that attracted a lot of attention in 2016 and received substantial financial subsidies from the EU, US, and Canada, has to lay off many workers. Northvolt shares are worthless now. The company, once promised to produce 16 gV EV batteries, now realized that it will not be able to compete with CATL's 500 gV EV batteries. One of the Northvolt plants, under development in Quebec, Canada, has to be delayed until 2026 or indefinitely. The plant in Germany was completely shut down.
At lest they try. Those who do not try are already doomed.
Unlike electric cars, the government didn't need to subsidise the sales of digital cameras and smart phones because they offered a better user experience. Maybe VW should pivot towards vehicles that people actually want and can afford.
They subsidise ice cars, Dieselgate being undoubtedly the biggest, so I don’t see the difference.
VW: ,"dont worry about those Tesla and Chinese EVs and their superior Software, We at VW have a Diesel cheat for that.😂
Several!!
No one else needed cheat devices to re engineer their engines to meet latest legislation so it just shows how bad their engineering always was, Vw was also done in the 1970’s for illegal emissions so they never learned having built and sold illegal cars then as well as between 2006-2020.
😂😂😂
True
Germany has to become a software powerhouse country if they want to survive in the future....attracting talents, software engineers, will be difficult with the problem of language barrier. If one wants to go to work and live in Germany without knowing german you will fail, that is not the case in countries like Switzerland, Netherlands, even Austria were with english you can easily live and work. It is visible also from this interview were so called high end experts they give the interview in german, for an english channel.
Just use AI like US, not...
The authors of the video wanted to show that the problem is only with Volkswagen. The entire German and European auto industry is on its way to its finish line, that would be more accurate.
0:30 except it isn't. What the narrator think a modern car should be is exactly what VW management thinks it should be, apart from it being absolutely wrong. Just look at the other comments. When people buy a VOLKSwagen, they care about cost and reliability. Not some fancy "software-defined vehicle" gimmick. That's what wrong with the company.
The price is the issue, not that cars are bad, they are just overpriced
just admit it, the cars are bad, too, especially regarding longevity and the utter high cost in regular maintenance. criticisms on quality of German cars, including Benz and BMW, are flooded overseas. please stop pretending they do not exist any longer. this is just like bearing the head into the ground to avoid prey. this does not work.
Well, the underlying issue is the cost, or the deeper still efficiency of production, which is a harder problem to solve. Unless they are making an absolute killing in profit, which I doubt.
VW cars are like 10 to 20 years behind......
Not true. The ICE OEMs can’t produce the cars at a low cost compared to the Chinese and Tesla.
These aren't separate problems. Cars that can't be manufactured efficiently to enable a profit are bad / badly designed cars (and/or badly designed manufacturing lines, depending on how you look at it).
VWs are often in the bottom third in reliability, and they are pricey. You cannot rest on the laurels of "German Engineering" forever.
Unfortunately the British went down that route built the mini what a cracking car but had gearbox problems and was it ever rectified or improved on no still the same today as it was then sat on our laurel's
What is happening with VW has nothing to do with electric cars. You presented it in a way that everyone is making money by selling electric cars only and we consumers are buying only electric. Which is utter non sense. VW is just pathetic in making good cars now. Can it come close to Toyota or Honda when it comes to reliability? Just admit it, they are making bad cars. AND stop indirectly pushing ideas like electric cars are everything.
Electric cars are the catalyst for what is happening. The EV future is inevitable, and legacy auto have been too slow to react. People want innovation and software, not dumb, slow, inefficient combustion engines. Legacy auto are in big trouble, They are like the Titanic heading for the iceberg, and can turn nowhere fast enough to miss it.
If not electric they could have focused on hybrids.
Electric software defined cars will totally dominate the near future. If you cannot compete, it doesn't matter how good your ICE vehicles used to be.
@@infinitebeing1119 The future is electric. Hybrids only delay the inevitable. Anyone not making huge investments in EV's are in big trouble.
@@daydreamer8373 Maybe future is electric, but I live in present and I want a reliable car with adequate camera, high resolution main display and perfectly working operating system. Unfortunately, VW cannot provide such a luxury in a regular car. Neither does Toyota. I guess everything thay can improve is their prices. The quality is only deteriorating.
Interesting how collaborating with Xpeng is dangerous for VW because they become dependent upon China but collaborating with Rivian isn't dangerous because you don't become dependent upon the USA. Considering that Germany is now highly dependent upon LNG from the USA (80% of all imports) because some unknown group blew up Nordstream one has to question the motivations behind such thinking.
Only germany is unknown. The rest of the world known.
In 1997, Kodak had about 160,000 employees. And about 85% of the world's photography was done with Kodak cameras.
Between 1996 and 2001, Nokia's revenue increased from 6.5 billion euros to 31 billion euros and between 1998 and 2012, Nokia was the world's largest mobile phone manufacturer. There are many other examples.
This is what is going to happen to many companies in the west because of the smartness of east Asians.
at that time, BYD made battery for Nokia and some of Motorola phones.
Call it smartness, call it poverty, call it lack of education no one cares, all we care about is that their work is cheap.
Smartness or simply copy?
@@idkoolproduction for more than 1 decade, china register more patents than other countries, but this is not what they wanted you to know.
@@idkoolproductiontell me what battery tech have they copied?
I remember talking to my (ex) father in law. A man well known in the German car industry. But when you talked to him about Tesla and EV he would laugh say "it's just a bump in the road". Boy was he wrong and his attitude was exactly how other big German car companies felt.
It looks like VW would rather go bankrupt than cut the prices of its products in half
Try to make a modern car yourself & speak about prices then!
VW doesn't wanna compete. Rather hold German market hostage
@@wizaaeed Nema potrebe, Kinezi su napravili znato bolje aute u pola cijene
people, except for the most wise ones, will only learn from the hard way.
You clearly have no idea what you're talking about
Competition is always good for consumers, if WV goes, another good company will come don’t worry
And if you visit China you’ll see there’re already here.
@@Bash_coope But if you’re a german auto worker, you have to worry. Actually all of Germany is worried.
@@epoliv this is how market evolves, Germans will find their way, don’t worry
@@epoliv learn new skill and adapt. If not goodluck and rely on goverment to stay alive
biggest company in biggest economy in EU. imagine what happened 5-10 years from now to Germany and EU.
I have a VW and was recently ‘invited’ down to the local showroom to learn about some ‘special offers’ arising from an ‘overstock’.
In relation to a new Polo i asked the salesperson “what is the cash price of one of those?” Forty minutes later she still hadn’t given me a straight answer. I had to listen to interminable waffle about things like ‘alloy wheel insurance, ceramic coating’ etc.
When, eventually I was given a price, it included all manner of extras that i didn’t want. By then i was so fed-up i just said goodbye.
Volk, you have forgotten the meaning of the word
So why would i care
Simple fact just in Australia a polo was 14990 new and a golf was 22990 . Now Volkswagen have made cheaper quality cars and have nearly double there prices is a recipe for failure.
Golf R was 50k now a nor al golf is 50k just out of this world .
All German brands were sit on mountains of cash for decades, but instead of actually investing in R&D, they produced powerful and expensive cars.
VW, BMW and Mercedes have invested in R&D. Much more than the France-Italian-American conglomerate Stellantis.
@patrickmccutcheon9361 Apparently, their much wasn't enough...
They fired Herbert Diess. He was one of few who realised the need for change a decade ago. This is now a lost decade.
Modern Germany is a disgrace
Why?
@@ananiaharutyunyan sleeping with the enemy
Trying to be the opposite of Third Reich days? 😮
@@tonyh7158
Ties with Russia have been cut.
They still built U-Boots, all is good.
Hang on, everything is suppose to be in crisis, but the reason the trade union are going to go on strike is because of record dividends going to the share holders.
Meaning VW are making more profit than ever, but in order to negociate a deal with the trade union Volkswagen are threatening to close 3 factory's and Volkswagen are saying there is a crisis.
I think a balanced news report should have looked at what trade unions are complaining about and analysed those dividends to see if Volkswagen really are making more profit than ever.
VW might be making profit, just like Toyota is still raking it in by being the most efficient of the dinosaurs that are about to die out. But these profits are not coming off of EVs, so that's where the issue lies.
Also, manufacturing lines for EVs have to be more efficient and automatized than those for gas cars, because the upfront cost of EVs is much larger (with savings on fuel and maintenance). That means fewer workers, which is something the unions also don't like.
A large part of the success of Chinese car companies are huge Chinese subsidies schemes. How sustainable this is remains still to be seen.
@@Yutani_Crayven Actually, the upfront cost of EVs should soon (as in, within a few years) be lower than that of an equivalent ICE car. The most expensive (and important) part of an EV is the battery, and battery prices have been consistently falling for over three decades, and are expected to continue falling until the end of the decade at least; battery prices in China seem to have recently crossed the threshold that makes EVs cheaper to produce than ICE cars (meaning BEV cars being designed right now in China should be cheaper than equivalent ICE cars when they are released a couple years from now), and while battery cost reductions outside China are lagging, other countries should get there too before the end of the decade (or faster if they don't mind importing batteries made in China).
VW CARS ARE NOT GOOD. THEY HAVE MANY ISSUES AND THEIR AFTER SALES SERVICES ARE VERY BAD.
The consumers in Europe are not demanding electric cars. The EU regulators are.
Exactly!
You're right. What consumers in Europe really want is cheap, reliable, and safe cars. Whether that means EV or ICE is far less relevant. The problem is that VW fails at delivering both.
Where will you get oil in long run?
Kodak and Nokia comparison is misleading. VW should start to produce cars for ordinary people. Once again. Not for EU bureaucrats dreams.
The golden age of ICE infrastructure is coming to an end, as recent limited innovations struggle to sustain profit margins. Alternative platforms now offer more attractive solutions and are anticipated to experience strong, sustained demand. The automotive industry is rapidly evolving into a tech-driven field where failure to innovate equates to extinction.
Yes, 50% of total petroleum consumed by the G7 today will be unavailable by 2030.
Top 20 Ancient Chinese Inventions are:
1. Paper Making 105 A.C,
2. Movable Type Printing 960-1279 AD,
3. Gunpowder 1000 A.D,
4. Compass 1100 A.D.
5. Alcohol 2000 BC－1600 BC
6. Mechanical Clock 725 A.D.
7. Tea Production 2,737 BC
8. Silk 6,000 years ago
9. Umbrella 1,700 years ago
10. Acupuncture 2300 years ago
11. Iron smelting 1050 BC－256 BC
12. Porcelain 581 - 618 AD
13. Earthquake Detector 132 A D
14. Rocket 228 A. D.
15. Bronze 1700 B.C.
16. The Kite 3,000 years ago
17. The Seed Drill 3500 years ago
18. Row Crop Farming 6 Century BC
19. Toothbrush 1498 in China
20. Paper Money 9th century A.D.
There are 1000s more from ancient time.
Yes though at 2: moveable type printing, it was Korean
@@paulc6766 Every Chinese subject country will treat Chinese things as its own.
Access to cheap energy is what historically drove economies to rise. Blocking itself from cheap energy by sanctioning Russia and destruction of its own pipelines has led to increased prices in energy which are becoming increasingly unsustainable and unprofitable for the German market to compete with the rest of the world. It's not a rocket science it's a simple math.
Electrification isn't the root cause of VWs problems. VWs problems are decay of quality, cost, good engineering and not listening to customers.
Just remove the logo from any VW brand and let someone guess which brand it is. They are all basically the same. They need to cut back to max 3 brands. But the whole organisation is so slow to change it will never happen so the market will change VW and let's see what is left in 5 years.
No cheap Russian energy = No German economy.
This is just the beginning.
Nah. That's what the russians want everyone to believe, but gas prices are not the problem there. The problem is that VW are losing the chinese market to chinese brands, and they keep failing in the domestic market. But VW is still in the profit zone, but not as much as other german brands.
China : thank you EU for your gas station
That's maybe what russians want everyone to believe but gas prices are back to normal for quite some time already. It's VW failing in their key markets.
Buy Russian energy = destruction of civilisation in Europe.
@@catherinegrimes2308 ohh yes, just look in Gaza
just keep to your audience. I visited Wolfsburg recently and it’s dull, all that money on the vw world thing . I own a mk7R manual and it’s gorgeous. too much emphasis on electric cars. It’s not what your audience wants. Keep your ID range so it’s the electric thing but keep on the petrol game . The GTI/R will always be legendary . Also the prices are insane £40k for a golf is crazy. Money is not getting better for most people. Secondhand prices are sticking high.
Quality went tailspin, prices skyrocketed. Outcome was inevitable.
Also there is one thing called "corporate greed" which usually kills investments, innovation, competitiveness.
This has been going on since the late 70's and the damage is done and we are never going back sad but true.
in US one of the most expensive car to repair is VW, the quality is poor, and to be honest the aesthetics are nonexistent and have that obtuse vanilla looks to them. The news keep talking about electric vehicle, but in US it would be welcoming News to have hybrid that’s reliable.
We have those, made by Asian companies. In the us the car market is dominated by Asian brands and some domestic brands. Euro companies have low quality and high prices and struggle to compete
Something mechanically reliable must be simple. Hybrid cars are the most complicated with so many moving parts that can go wrong. Gas cars are somewhat simpler and the simplest of all are electric cars
@ unfortunately the fact is hybrid cars made by Toyota is more reliable than internal combustion engine only. That’s a data available.
Their software is not that bad. But the switches and lack of backlit controls are complete incompetence that they refused to fix. Skoda makes the controls a lot better.
Yeah I want to know what is smoking whoever decided for this tactile switches with no feedback on the wheel and central panel.
The software is bad compared to the competition, there's just no arguing against that. The software present in Teslas, Renaults, and lots of chinese cars is just miles ahead.
Volkswagen is on solid technical foundations as an automotive company and made some of the greatest cars for different market segments globally. At some point, they lost the plot and stopped investing in inhouse innovations for make their established models at the current level of expectations. Instead they started abandoning established models and given to panic adaptation of what other new eV players are doing. Look at Toyata who firmly charting their path of having strong presence in hybrid powertrains, refined ICE including diesels and also eVs in calibrated manner while all their great models are sold all around the world. Volkswagen should have continued with their iconic models like the Passat, Jetta, Golf and Beetle, modernised with highly efficient hybrid powertrains alongside other software based features and conveniences incorporated. Looks like they missed the step but still can be corrected.
German car makers relied on Chinese market too deeply and for too long.
Germany is an analog country in a digital world. Very, very sad to see a country collapse in this way.
Herbert Diess knew this was coming, shareholders sacked him in favour of continued profits no doubt
VW will not be in business in 5 years. They are learning lessons far too slowly.
Electric cars still suck. They have low range, slow charging they are very expensive and the charging net work is absolutely insufficient
German trains can't even run on time anymore. This is the end of Germany.
January-June new vehicle sales in the Chinese market was 14,045,000 Production volume increased by 4.9% to 13,889,000 units. Chinese automaker BYD is the most wanted car in China
They had a good run, but we need to move on to the better options now.
Hey but it was fun, they have a lot of (dark) history
The 90s feel of this video is just as outdated as Volkswagen and it shows how the entire German society is completely lagging behind. Time to rejuvenate, also here at DW!
Software is the key. Whoever nails that wins.
no always will be reliability
@ EV’s are very reliable, not many moving parts. It comes down to software issues and user experience.
@@MetalGear1 Yes, correct and that is the main issue with the ID. series. The software is unreliable and a pain.
@@MetalGear1EV's are only 80% less reliable than traditional cars according to consumer reports. And significantly more expensive to repair
@@viljamikoivunen6297 look at studies not consumer reports and those are mostly software issues. Cost of parts will be coming down.
Right now there is approx. 60.000 Teslas (all models) driving around in Denmark. And there is 47.000 VW E-cars (all models). In addition, there is approx 15.000 Skoda E-cars (owned by VW). So I wouldnt say that Tesla has won. I think the European E-cars are doing better in Denmark. I dont know about the rest of Europe.
But Tesla Model Y is the best selling car currently.
Numbers of sales don't matter that much, if there is not profit to be made. Tesla benefits from artificial taxpayer subsidies still, for years sales of carbon credits was only thing that made profits in their sales. Proper car companies make their profits by selling traditional cars, selling EV's is not profitable business
@@cmdrstevemcmaru7417 Yes. Tesla is doing great. One reason is that Tesla is again and again dumping the price on the European market. They can do this because support from the US government (for example in the US there 100% tax on Chinese cars). And with a close alliance with Trump Tesla will perhaps recieve further government support. It just funny how little this government support is mentioned by the US industries in general - doesnt fit the self-image I guess :-)
I live in the EU and the cheapest ID7 at my local VW is 59k EUR in the price list, which means you need to pay AT LEAST 60k incl. delivery fee and that even if you come there with cash in a bag and don't take any additional options whatsoever (not even mats). Not sure where you can get it for 55k. In both cases, however, the price is ridiculous.
I feel these analysis are still missing it... cars have gone beyond how the battery is good (it has to be good), whats important now is software.... later autonomy
Free market only exists when US wins,saving cost for customers is the last thing to be considered.
Electric cars will be the death stone for VW. It's edge was mechanical prowess, and it has lost it with the push to batteries and blender motors.
The average person: doesn't want to buy an electric car*
VW: produces a massive Amount of electric Cars*
VW: "People don't buy electric cars, they aren't profitabel"
Gouvernment: Adds EV subsidies
People: Start buying cars.
VW: Puts all it's eggs in one basket
Government: stops the subsidies
People: Stop buying EVs
VW: Suprised pikachu face
I think they lose because too slow to adapt EV, the chinese (& tesla) are faster. it's really resemble kodak situation: too slow to adapt digital camera.
50% of Chinese market are evs.
@@user-nh1yb9mk7y Yeah in China, not in Europe and in USA. In Germany, Chinese EV's have 8% of the EV market.
@@LetsGo-wl5zo the biggest market in the world Is China
@@LetsGo-wl5zo Things change, get used to it.
They just spent 5 billion on the failing startup electric truck company, Rivian.
Rivian trucks cost about 80,000, but Rivian looses about 33.000 on every vehicle produced.
VW is also redirecting the Svout American car brand. They just confirmed 2 billion for the construction of a brand new Scout factory.
Scout and Rivian are producing the same types of electric trucks and SUV’s. The only problem is that there is no market for electric trucks. Ford cannot shift its rlectric F150 lightning.
It is unbelievable. Inversting in USA whilst neglecting their home market and employees.
As an American, I fully agree with you. They invested billions in my state of South Carolina.
Correction: VW did not spend 5 billion on Rivian. They invested 1 billion with a possible additional investment of 4 billion more. And for a very good reason for both companies: Rivian is good in software but can't make cars profitably, while VW is good in manufacturing but failing in software. This deal has the potential of saving both companies.
probably stelantis' method is better (must wait few years to see the real results): buy some part of chinese car company, give them general design based on experience selling cars worldwide. now leapmotor going to build their B model based on stelantis' design while currently stelantis help them sell the c10 and c16 worldwide.
@@paulziegler1641 VW has the second largest auto manufacturing capacity in the world and I’m not aware of data showing that it doesn’t do that well.
@@epoliv you can be small but have high profit margin or big with low margin
Biden said it in your face, "I will blow Nord stream pipeline", and that clown (Scholz) smiled. Game-over🤣🤣🤣🤣🤣🤣🤣🤣
But its still ridiculous that the whole german economy relies on ONE factor
How's the weather in Moscow?
Toyota is well on its way to go down the same decline as VW.
I hope so...
I will never buy an EV so I am out of the market. I am keeping my ICE vehicles...they are both paid for and i will not buy in this economic market.
You guys should definitely add subtitles
Dacia has great success in making simple transportation - something where VW started a long time ago but since has forgotten that simple means not having a thousand gizmos in the car of which alot are "set and forget" things.
Hey VW, costumer here.
Can you just invest in a good looking (not those id bricks) and less tech car?
That's all we ask for.
Thanks.
Mk7 Golfs were and are great!
Love my '15 1.8t Sportwagon
Yeah ! Let's ignore the reliability and Pricing issues.
Cheaper and cheaper parts combined with lousy software at a premium cost is a path to disaster. And dont forget record high dividend payments to stockholders the last years.
How come Toyota are not similarly screwed?
Economic downturn so VW buyer turned to japanese car
Toyota smartly did not go full electric but hedged its bet on the future by going for plug-in hybrid which is the way to good in the medium term. It was inevitable that VW in playing catch-up on BEVs would have teething problems with its first generation.
Toyota didn't fall for the EV BS!
There's always been alarmism around this, and it's not the first time the media has painted VW as on the brink of collapse. But here’s the reality: Europe is loyal to its major brands, and VW Group is one of them. Despite what some media might push, VW Group is actually selling more cars in Europe now than before, thanks to the growth of Skoda and Seat/Cupra, both part of VW. VW may adapt or scale down, but it’s not going away; Europe remains one of the world’s largest markets, where VW and its sister brands are deeply rooted. And Chinese EVs in Europe!? Let's not even go there... their sales figures, or lack of them, speak for themselves.
Look at Skoda success (car brand from behind Iron Curtain 1989), Dacia (the same). Hyunday / KIA 40 years ago was not present in Europe. MG is an old European brand...
If I was interested in making a profit and surviving I'd do the opposite of whatever VW does.
I drive a vw trust me never buying again i dont want an unreliable car which i have to spend 1000s of $ for a repair .
Where toyota /honda never have that issue
You start by saying a gas is being replaced by electric?? By what metric?
The founder of VW would be rolling in his grave over this, RIP to the man
Germany is going down the drain, but they voted for it.
I've developed advanced automotive systems on par with Chinese and have experience in both this industry (9y.) and IT (4y.). Guess what VW's CARIAD has answered to my job application for IT Product management position? "We need someone who speaks Deutsch, it's a strict requirement". So they are selectively hiring people from the society infamously lagging behind in the skills that matter for the product they need to build. Sorry, I know Germans are proud of their past, but as cars are turning into IT on wheels, the language and culture of the local industry has to switch, and actually the Chinese were the first ones to realize that, attracting top IT and automotive talent from all over the world (of course, speaking English).
Proud? Of what? Losing two world wars?
When Volkswagen fired Herbert Diess, it was clear that they were doomed.
He is the guy that put Vw into its current situation as he deliberately set out creating illegal engines and cars that should never have been made let alone fraudulently sold to millions of people from 2006 - 2020. He should be in prison, he can’t go to the USA or anywhere where country have an extradition treaty as America will take him for their courts and into prison where 10 Vw managers have been for several years already. Following orders was no excuse for them. Vw refused to pay US $24 million for their release whilst Vw paid Deiss €40 Million when he was pushed out as a thank you for his work as ceo!
Toyota makes more vehicles as compared to VW, however Toyota has 44% less employees as VW.
C'mon, don't be like that - it's easier blaming Chinese for all their issues. Get with the program lol.
VW's have never been popular in the USA. They will have to maintain their position in Europe. While hybrids will continue to grow in popularity in the USA, EV's and PHEV's will never replace the ICE (so much space). So VW will have to focus on a continent that is determined to remove ICE's as they appear to be losing China.
As expected once they cut the Russian cheap gas and oil, Germany industry slowly crumble
It's as if the German industry is still trying to perfect candles in the age of LED lights.😂😅🤣
Germany as a whole lags in technology.
Looking at the number of reports coming out of DW about the demise of VW you can see the shock this has given in Germany.
Not a single mention of tesla??!! Herbert diese was acknowledging the problem and was trying to change direction but VW forced him out. For years, us Tesla fans, were saying teslas are computers on wheels and we were laughed at by them. How come Tesla makes cars profitably in Germany and you can’t?? You get what you deserve.
Don't even forget about SFD2 protection now, totally blocked out of all modules to do basic maintenance on. I'm looking at Tesla and Xpeng atm for a new ride. From a family who only had VAG cars in the past. For my part they can go bankrupt, blocking out maintenance OBD devices and 2-way communication is a step to far...
I think they must have cut this video short because it never answered the titles question if VW can survive or will it die, they just ended it saying "will VW die?, not necessarily,..." but never explained why not. Germany will not let them go bankrupt, so I think they're going to shrink to less than 50% of their current size and revenues over the next few years.
Wife bought a peugeot 208 last month rather than a golf for the reason it is a better looking car with a better overall interior for a similar price. That simple!
The golf just didn't excit her.
A couple of years ago I bought an older 2013 aston martin vanquish. There are better sports cars from that time out there for less but frankly, I fell in love with how it looked. Its beautiful, and while the Porsche was a better all round car it lacked beauty. Ok my perspective, of course.
VW stopped building cars people want to be in and drive.
3:48 - "Dividend receive dividends"..
This is a misleading narrative of labour unions.
1. Employees receive much more net profits (salaries) than shareholders receive dividends.
2. Dividends are no net profit for Shareholders. The minute dividend is being paid stock prices go down with the same amount as the dividend.
3. While dividends are no net profit for shareholders, dividends are a huge net profit for governments, since dividend are subject to dividend taxes.
In indonesia people choose japanese car, its so reliable until 15 years we only replace oil
Having come here thinking this will be insightful and well researched report, found myself to be disappointed. VW has had numerous problems with their ongoing credibility and quality issues for a while now and to simply say that electric motors has replaced an ICE engine (@46") is just simply nonsensical. This not the state of the world passenger vehicle market. I find it resentful when a lobby group (of any kind, be it big oil/gas, or EV lobby) appears to be sponsoring/paying for a pretend report.
The move to EV's has caught legacy auto sleeping at the wheel. They have been too slow to react to the changing landscape. EV's are the catalyst for the distruption happening. and VW are not the only ones in trouble.
unions is what will kill germanys companies. they force companies to let old mechanics start to code. sometimes its better to change people out if you can save a company doing it